Question 1

An employer's federal unemployment taxes (FUTA) are reported:

Accepted Answer

A)  Annually.
B)  Semiannually.
C)  Quarterly.
D)  Monthly.
E)  Weekly.F) B) and E)
G) A) and E)

Question 2

The wage bracket withholding table is used to:

Accepted Answer

A)  Compute social security withholding.
B)  Compute Medicare withholding.
C)  Compute federal income tax withholding.
D)  Prepare the W-4.
E)  Compute unemployment taxes.F) B) and E)
G) None of the above

Question 3

On June 1,Jasper Company signed a $25,000,120-day,6% note payable to cover a past due account payable.
a.What is the total amount of interest to be paid on this note?
b.Prepare Jasper Company's general journal entry to record the issuance of the note payable.
c.Prepare Jasper Company's general journal entry to record the payment of the note on September 29.

Accepted Answer

The answer of On June 1,Jasper Company signed a $25,000,120-day,6%...

Question 4

The times interest earned ratio reflects:

Accepted Answer

A)  A company's ability to pay its operating expenses on time.
B)  A company's ability to pay interest even if sales decline.
C)  A company's profitability.
D)  The relation between income and debt.
E)  The relation between assets and liabilities.F) A) and B)
G) A) and C)

Question 5

An employer has an employee benefit package that includes employer-paid health insurance and an employer-paid retirement program.During March,the employer paid $5,500 for health insurance,and contributed to the employee retirement program 10% of the employees' $120,000 gross salaries.Prepare the journal entry to record these employee benefits.

Accepted Answer

The answer of An employer has an employee benefit package...

Question 6

A company's has fixed interest expense of $52,000,income taxes expense of $121,000,and net income of $281,000.The company's times interest earned ratio equals:

Accepted Answer

A)  8.73.
B)  5.40.
C)  7.73.
D)  2.33.
E)  0.11.F) B) and D)
G) A) and C)

Question 7

All of the following statements regarding FICA taxes are true except:

Accepted Answer

A)  FICA taxes are deducted from the employee.
B)  Employers must pay withheld FICA taxes to the IRS.
C)  The amount of FICA deducted from the employee is credited to a liability account.
D)  A self-employed person is exempt from FICA taxes.
E)  An employer must pay FICA taxes equal to the amount withheld from the employee.F) B) and C)
G) All of the above

Question 8

During August,Boxer Company sells $356,000 in merchandise that has a one year warranty.Experience shows that warranty expenses average about 5% of the selling price.The warranty liability account has a credit balance of $12,800 before adjustment.Customers returned merchandise for warranty repairs during the month that used $9,400 in parts for repairs.The entry to record the customer warranty repairs is:

Accepted Answer

A)  Debit Warranty Expense $17,800;credit Estimated Warranty Liability $17,800.
B)  Debit Warranty Expense $9,400;credit Estimated Warranty Liability $9,400.
C)  Debit Warranty Expense $14,400;credit Estimated Warranty Liability $14,400.
D)  Debit Estimated Warranty Liability $9,400;credit Parts Inventory $9,400.
E)  Debit Estimated Warranty Liability $17,800;credit Parts Inventory $17,800.F) A) and B)
G) A) and C)

Question 9

On November 1,Casey's Snowboards signed a $12,000,90-day,5% note payable to cover a past due account payable.
a.What amount of interest expense on this note should Casey's Snowboards report on year-end December 31?
b.Prepare Casey's journal entry to record the issuance of the note payable.
c.Prepare Casey's adjusting journal entry at the end of the year.
d.Prepare Casey's journal entry to record the payment of the note on February 1 of the following year.

Accepted Answer

The answer of On November 1,Casey's Snowboards signed a $12,000,90-day,5%...

Exam 11: Current Liabilities and Payroll Accounting

Correct Answer
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Correct Answer
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An employer's federal unemployment taxes (FUTA) are reported:

Correct Answer
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A company's has fixed interest expense of $52,000,income taxes expense of $121,000,and net income of $281,000.The company's times interest earned ratio equals:

Correct Answer
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The wage bracket withholding table is used to:

Correct Answer
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The times interest earned ratio reflects:

Correct Answer
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Correct Answer
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All of the following statements regarding FICA taxes are true except:

Correct Answer
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Correct Answer
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Exam 11: Current Liabilities and Payroll Accounting

Correct AnswerverifiedShow Answer

Correct AnswerverifiedShow Answer

An employer's federal unemployment taxes (FUTA) are reported:

Correct AnswerverifiedShow Answer

A company's has fixed interest expense of $52,000,income taxes expense of $121,000,and net income of $281,000.The company's times interest earned ratio equals:

Correct AnswerverifiedShow Answer

The wage bracket withholding table is used to:

Correct AnswerverifiedShow Answer

The times interest earned ratio reflects:

Correct AnswerverifiedShow Answer

Correct AnswerverifiedShow Answer

All of the following statements regarding FICA taxes are true except:

Correct AnswerverifiedShow Answer

Correct AnswerverifiedShow Answer

Correct Answer
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Correct Answer
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Correct Answer
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Correct Answer
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Correct Answer
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Correct Answer
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Correct Answer
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Correct Answer
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Correct Answer
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